Peel Mining Limited’s (ASX:PEX) ongoing drilling at its 100%-owned Wirlong and Mallee Bull copper deposits in NSW has returned further high-grade copper mineralised intercepts.
Resource drilling at both prospects is now paused for the Christmas/NY period, with reviews of both Wirlong and Mallee Bull resource drilling underway to determine what further infill drilling is required to increase the resource confidence for an economic study.
Additional to the recently released maiden resource estimation at Wirlong, Peel expects to deliver a Mallee Bull and Wirlong resources update in March quarter 2022, as part of Peel’s copper first development strategy.
Managing Director, Rob Tyson, said Wirlong and Mallee Bull are part of Peel’s South Cobar Project, centred around 100km south of Cobar in Western NSW.
“Whilst the Wirlong maiden mineral resource estimate has now been delivered, excellent potential to continue to improve this high-grade copper deposit remains with WLDD059 returning significant copper mineralisation in the projected position of the MBX lens, ~30m southeast along strike from that in WLDD040,” Mr Tyson said.
“This result as well as other assays received and pending will be used to upgrade the Wirlong resource in mid-2022.
“At Mallee Bull, resource infill and extensional drilling continues to yield wide, high grade copper intercepts. Significantly, MBDD065 intersected strong mineralisation on the southernmost drill section, outside of the current resource model demonstrating mineralisation at Mallee Bull remains open to the south.”
Wirlong
The resource upgrade drilling is part of Peel’s strategy to advance each of its deposits to mineable resources, as part of the company’s copper first development strategy. The 2021 resource estimate for Wirlong comprises 2.45Mt at 2.4% Cu, 8.7g/t Ag containing approximately 57,900t Cu, 686Koz Ag (using a A$90/t NSR cut-off).
There are a number of holes still to be assayed with five recent returned assays as per below. Recently returned assays confirm multiple new mineralised high-grade intercepts; better assays include:
WLDD043 o 11m @ 2.93% Cu, 10g/t Ag from 388m including: 4.88m @ 6.04% Cu, 20g/t Ag, 0.66g/t Au from 393m
WLDD041 o 16m @ 1.55% Cu, 8g/t Ag from 314m including: 3m @ 4.33% Cu, 23g/t Ag from 314m
WLDD046 o 3m @ 7.39% Cu, 41g/t Ag from 255m o 4m @ 1.92% Cu, 5g/t Ag from 330m
WLDD045 o 3.9m @ 3.55% Cu, 8g/t Ag from 474.9m
WLDD037 o 3m @ 4.33% Cu, 23g/t Ag from 314m o 3m @ 2.15% Cu, 9g/t Ag from 289m
These results were not available in time to be included in the recently released maiden MRE for Wirlong.
Mineralisation returned from recent drilling appears generally consistent with Peel’s recently released maiden MRE modelling for Wirlong.
Significantly, recently completed drillhole WLDD059 intersected chalcopyrite mineralisation ~30m southeast along strike from WLDD040 in a largely untested area, highlighting the open nature of this growing copper mineral system.
17 drillholes are currently awaiting or undergoing processing.
Drilling at Wirlong was designed to test the upper part of the Wirlong Central zone, where high-grade copper (chalcopyrite) mineralisation is structurally controlled on a NW-SE orientation, locally known as the John Owen Fault.
Wirlong Central zone mineralisation is also interpreted to be influenced by the interaction between the John Owen Fault and the regional scale N-S trending Woorara fault, creating a sinistral strike slip fault zone encompassing en echelon vein arrays.
The true width of intercepts reported for mineralisation associated with the John Owen Fault is estimated to be approximately 40-60% of the downhole widths. The true width of mineralisation distal to the John Owen Fault is more variable depending on vein array orientations relative to the respective drillhole.
Further drilling is required in the south-east part of the Wirlong Central zone to determine accurate true widths in this area.
Mallee Bull
Mallee Bull resource upgrade drilling is part of Peel’s strategy to advance each of its deposits to higher confidence mineable resources to provide an economic study, as part of the vompany’s copper first development strategy.
The 2017 resource estimate for Mallee Bull comprises 6.76Mt at 1.8% Cu, 31g/t Ag, 0.4g/t Au, 0.6% Pb, 0.6% Zn (2.6% CuEq) containing approximately 119,000t Cu, 6.6Moz Ag, 83,000oz Au, 38,000t Pb, 38,000t Zn) (using a 1% CuEq cut-off).
As previously reported, Peel has identified significant copper mineralisation in drilling recently completed as part of resource definition drilling, with recently returned assays from MBDD057 and MBDD065 further confirming these observations:
MBDD057 22m @ 2.75% Cu, 34g/t Ag, 0.14g/t Au from 464m including: 5.1m @ 5.9% Cu, 55g/t Ag, 0.16g/t Au from 477m
MBDD065 9m @ 3.53% Cu, 27g/t Ag, 0.17g/t Au from 412m including:.75m @ 7.08% Cu, 52g/t Ag, 0.35g/t Au from 416m
Significantly, MBDD065 mineralisation occurs 20m further south than the current resource model, with mineralisation visible in the adjacent up-dip holes, confirming the resource remains open to the south. Table 8 shows all significant resource upgrade drilling intercepts returned to date.
Although mineralisation at Mallee Bull commences at ~60m below surface and has been defined to at least 800m below surface, remaining open along strike and at depth, the bulk of Mallee Bull’s contained copper is located from ~350m below surface where resources are predominantly of an Inferred nature.
The resource upgrade drilling program, comprising ~26,000m to date, is primarily designed to convert Inferred classified resources to Indicated classification for an economic study. At the time of reporting, 10 drillholes have assays pending (samples in lab); nine drillholes are undergoing final processing; and nine drillholes remain to be processed.
For further information please visit: https://www.peelmining.com.au/
